Job Creation In Texas
My fellow Texans...
On February 5, I was proud to announce that Toyota - the world's third largest automaker - had selected San Antonio as the site for its sixth North American plant. Toyota's decision will certainly have a huge impact on that city's economy.
In the plant's first full year of production in 2006, $100 million in wages will be generated for 2,000 employees. And over a 25-year period, the plant will generate $4 billion in salaries and benefits.
But make no mistake - San Antonio won't be the only one reaping the economic rewards.
The projected ripple effect from this plant means an additional 5,300 spin-off jobs - jobs throughout our state. Those jobs will in turn contribute another $4 billion to our economy. Ultimately, Toyota's decision to locate in Texas will help generate some $300 million to the state's economy in sales tax revenue and franchise taxes over the next 25 years.
It's important to note that Texas stepped to the plate with an incentive package for Toyota that admittedly wasn't the largest. Other states hoping to lure this facility offered far more. But while ours was not the biggest, it was the strongest - and the reason for that goes beyond direct incentives.
Texas is a good corporate partner and a haven for job creation because taxes are low, regulations are reasonable, our schools are good and our labor force is skilled.
From our largest cities to our rural communities - in all areas of our state - the message to any business looking to open, to relocate or to expand is simple and effective: Texas is ready to work with you.
Toyota is the latest example of that fact. And I believe that company's decision marks the beginning of a new economic boom because companies looking to prosper in the 21st century will find no better home than Texas.